This quiz works best with JavaScript enabled. Home > Investments > Investment Banking > Investment Banking – Quiz 1 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Investment Banking Quiz 1 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Real estate investment means A) Investment in houses. B) Investment in flats. C) Investment in bungalows. D) All of these. Show Answer Correct Answer: D) All of these. 2. Why might there be a rise in investment bankers in the future? What causes this trend? A) The high income despite the pandemic. B) It is very easy to get into school for it. C) The increase in technology that sparks interest for lots of this generation. D) None of above. Show Answer Correct Answer: C) The increase in technology that sparks interest for lots of this generation. 3. Merchant banks deal with funds raised through ..... and capital market. A) Secondary Market. B) Primary Market. C) Money market. D) Securities market. Show Answer Correct Answer: C) Money market. 4. Hedging means: A) Reducing risks. B) Increasing risks. C) Being ready to take risks. D) Avoiding risks. Show Answer Correct Answer: A) Reducing risks. 5. ..... is regarded as the fourth element of the financial system. A) Financial services. B) Financial markets. C) Financial institutions. D) Financial instruments. Show Answer Correct Answer: A) Financial services. 6. Preferred stock allows you to vote but does not guarantee a set dividend. A) True. B) False. Show Answer Correct Answer: B) False. 7. How many hours average does an investment banker work per week? A) 45 hours. B) 70 hours. C) 105 hours. D) 120 hours. Show Answer Correct Answer: C) 105 hours. 8. What is FPO A) Final private offer. B) First public order. C) Final public offer. D) None of the above. Show Answer Correct Answer: D) None of the above. 9. The Dealing Room in the Treasury organization is in the following section: A) Front Office. B) Middle Office. C) Back Office. D) Branches. Show Answer Correct Answer: A) Front Office. 10. These are the problems in achieving acquisition success except: A) Integration difficulties. B) Evaluation of performance. C) Inability to achieve synergy. D) Managers overly focused on acquisitions. Show Answer Correct Answer: B) Evaluation of performance. 11. Who spreads awareness about mutual funds in india? A) SBI. B) ICICI. C) AMFI. D) Bank of Baroda. Show Answer Correct Answer: C) AMFI. 12. International investment banking operational system A) Front Office. B) Middle Office. C) Back Office. D) All answer. Show Answer Correct Answer: D) All answer. 13. Investment bank functions: A) Working capital financing. B) Trade Finance. C) Credit card. D) Project Financing. Show Answer Correct Answer: D) Project Financing. 14. Real estate and collecting items such as coins and stamps are also examples of investing. A) True. B) False. Show Answer Correct Answer: A) True. 15. The Payback Period (PBP) will always select the investment that A) Gives the highest rate of return. B) Returns the cost of investment first. C) Has the highest total net cash flow. D) None of above. Show Answer Correct Answer: B) Returns the cost of investment first. 16. The following are all methods of investment appraisal, EXCEPT: A) Payback period. B) Balance sheet return. C) Net present value. D) Discounted Payback period. Show Answer Correct Answer: B) Balance sheet return. 17. Which type of prospectus is Red Herring? A) Preliminary prospectus. B) Final prospectus. Show Answer Correct Answer: A) Preliminary prospectus. 18. In terms of business accounts and finance, an investment is A) Having retained earnings receiving interest in the bank. B) Purchasing new capital equipment. C) Returning dividends to shareholders. D) Financing a long-term bank loan paying interest. Show Answer Correct Answer: B) Purchasing new capital equipment. 19. Selling your stock for more than you paid for it is known as ..... A) Stock. B) Dividends. C) Return. D) Capital gains. Show Answer Correct Answer: D) Capital gains. 20. Functions of Middle Office A) Risk management. B) Financial control. C) Corporate treasury. D) All answer. Show Answer Correct Answer: D) All answer. Next →Related QuizzesInvestments QuizzesInvestment Banking Quiz 2Investment Banking Quiz 3Investment Banking Quiz 4Investment Banking Quiz 5Investment Banking Quiz 6Investment Banking Quiz 7Investment Banking Quiz 8Investment Banking Quiz 9Investment Banking Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books